CHATROOM

Why I Trade With So Little Money (Like A Poor Person)

May 9, 2009 at 8:05 am
by Timothy Sykes

Watch these 7 free video lessons on how I became a millionaire

UPDATE: I now trade with 2 accounts, the $50k TIM trading account–which I’ve grown from $12.4k in 18 months–and a new longer term account which will be doing some interesting things with Covestor soon…funded that at $50k on May 1st, already up to to $51.5kish…sill trading poor, just not as poor anymore :)

I get this question a lot, since I’ve got 15x+ in liquid cash I could be trading with over my little $50k account…

Well, it’s the same reason why I stick with basic web-based ordering of online discount brokers Thinkorswim (my favorite) & Interactive Brokers (horrific platform/customer service, but they do have borrows on the stocks I like to short) instead of using their fancy charting/data platforms: I AM TRADING LIKE A POOR PERSON TO PROVE THAT ANYBODY CAN MAKE GREAT RETURNS/MILLIONS USING PENNYSTOCKING.

I did not check myself into a trading prison in November 2007…starting with $12k subjected me to the absurd Pattern Day Trading Rule for a grueling 9-month sentence…only to enjoy the perks that come with being rich.

Nope, while “real traders” poke fun at my “little gains”, their small brains don’t comprehend that my trading account is just a way for me to prove my strategy works and it helps me teach good vs. bad trading habits in real-time.

I don’t care to trade bigger $….for now…because the profits I make off DVD sales and blog income is plenty enough….for now….and it’s infinitely more fulfilling to help people with small accounts than anybody with large accounts who really don’t need to trade, they’re probly just bored/unsatisfied with their superficial lives.

PennyStocking works great for small accounts–up to $1 million or so—in this market at least–so my allegiance is to them, not to rich people or “real traders” (95% of them who are losers, financially and personally)…cutting through the BS, that’s my goal….rich people forget that $500 or $2,000 in trading profits is not only exciting for most people, it allows everyone to think differently about the world….and that’s my ultimate goal.

I am the philosopher trader king.

Posted in Basics, Q&A

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  • http://www.within49miles.com Anthony Brown

    Recently I had noticed these small trades on your end, thanks explaining why you’re “staying small.”

  • http://www.within49miles.com Anthony Brown

    Recently I had noticed these small trades on your end, thanks explaining why you’re “staying small.”

  • tino

    Great to see you made your revenge trade in BCRX and banked almost 2k on that one!
    Respect TIM!

  • tino

    Great to see you made your revenge trade in BCRX and banked almost 2k on that one!
    Respect TIM!

  • TONY LEPATATA

    Tim – no offense really, but you are a total joke. A sham, a loser, a nobody. You trade with little money to “prove” that you anybody can make money with your unbelievable secrets??? How about because you’re terrified of losing your money again and again, again exposing yourself as a total fraud. Audited results of cilantro fund?

  • TONY LEPATATA

    Tim – no offense really, but you are a total joke. A sham, a loser, a nobody. You trade with little money to “prove” that you anybody can make money with your unbelievable secrets??? How about because you’re terrified of losing your money again and again, again exposing yourself as a total fraud. Audited results of cilantro fund?

  • http://test.timothysykes.com Timothy Sykes

    Tony, no offense taken, do a little research before jumping to conclusions…tell me, how am i a fraud when i detail all my trades? how am i a fraud when i have dozens of happy testimonials–that are all real and posted on timalerts.com. stop wasting my time little child, and accept the inevitable..flash forward 3 years and you’ll be one of my best customers, might as well just start now so i can help u profit sooner :)

  • http://test.timothysykes.com Timothy Sykes

    Tony, no offense taken, do a little research before jumping to conclusions…tell me, how am i a fraud when i detail all my trades? how am i a fraud when i have dozens of happy testimonials–that are all real and posted on timalerts.com. stop wasting my time little child, and accept the inevitable..flash forward 3 years and you’ll be one of my best customers, might as well just start now so i can help u profit sooner :)

  • http://www.ngpcap.com Nick

    Tim, I have been following your strategy for 2 years now and purchased my Pennystocking DVD package last year.
    I had a small account and decided to try the FOREX route, BIG mistake as I lost my ass and quit trading for about 6 months! Needless to say, I developed my own strategy within the past 4 months based on your principles which you detail in the Pennystocking DVD’s. I am BACK! I profited $1036 this week and am a TRADER FOR LIFE!
    Keep up the great info TIM and thanks!
    Good luck to Tony Lepatata! Probably wears a bluetooth headset while eating dinner!

  • http://www.ngpcap.com Nick

    Tim, I have been following your strategy for 2 years now and purchased my Pennystocking DVD package last year.
    I had a small account and decided to try the FOREX route, BIG mistake as I lost my ass and quit trading for about 6 months! Needless to say, I developed my own strategy within the past 4 months based on your principles which you detail in the Pennystocking DVD’s. I am BACK! I profited $1036 this week and am a TRADER FOR LIFE!
    Keep up the great info TIM and thanks!
    Good luck to Tony Lepatata! Probably wears a bluetooth headset while eating dinner!

  • Blaze

    tim,

    I think that last line should read, I am the ultimate jewish marketing king.

  • Blaze

    tim,

    I think that last line should read, I am the ultimate jewish marketing king.

  • Andrew

    tim,

    I have been trading with around 8k, but the problem is I cant get a margin account with only 8k. how did u get a margin account with 12k? Is it my broker or is it because I am a 19 year old with no credit score?

  • Andrew

    tim,

    I have been trading with around 8k, but the problem is I cant get a margin account with only 8k. how did u get a margin account with 12k? Is it my broker or is it because I am a 19 year old with no credit score?

  • Tony Lepatata

    1) not everyone wins with your method. people trade using your strategies and low and behold they lose. so you just ignore “testimonials” of people that lose and glowingly report all the people who made a buck or two.

    you can’t honestly expect anybody to believe that you “detail” ALL of your trades. when have you ever posted that you lost money on a trade…its just oh i made $700 here when i should have made $2000 etc. nothing you say can be taken seriously…i’ve met so many people just like you…relentless self promoting snake oil salesmen.

    in my opinion if you want me and others to take you seriously, make your marketing more realistic.

    2) how bout a long extensive blog post about your cilantro fund. how much did you start with? how much did you end with? detail your trades. come on timmy.

    3) just reading your saga with Trader Monthly is all the entertainment I need for a Saturday afternoon. the real guys in the business know that you arent a real trader at all, and I’m pretty sure you realize that too. people who trade for real dont sell their method for $30 bucks a pop or whatever you charge these days.

    4) do you really expect people to believe your reasons for why you trade with so little money like a poor person? if you do you must be seriously delusional.

  • Tony Lepatata

    1) not everyone wins with your method. people trade using your strategies and low and behold they lose. so you just ignore “testimonials” of people that lose and glowingly report all the people who made a buck or two.

    you can’t honestly expect anybody to believe that you “detail” ALL of your trades. when have you ever posted that you lost money on a trade…its just oh i made $700 here when i should have made $2000 etc. nothing you say can be taken seriously…i’ve met so many people just like you…relentless self promoting snake oil salesmen.

    in my opinion if you want me and others to take you seriously, make your marketing more realistic.

    2) how bout a long extensive blog post about your cilantro fund. how much did you start with? how much did you end with? detail your trades. come on timmy.

    3) just reading your saga with Trader Monthly is all the entertainment I need for a Saturday afternoon. the real guys in the business know that you arent a real trader at all, and I’m pretty sure you realize that too. people who trade for real dont sell their method for $30 bucks a pop or whatever you charge these days.

    4) do you really expect people to believe your reasons for why you trade with so little money like a poor person? if you do you must be seriously delusional.

  • http://test.timothysykes.com Timothy Sykes

    tony, u incredible imbecile, i’ve already answered all your questions, u’re just too dumb to know it, dont worry i’ll have an entire blog post dedicated to u

  • http://test.timothysykes.com Timothy Sykes

    tony, u incredible imbecile, i’ve already answered all your questions, u’re just too dumb to know it, dont worry i’ll have an entire blog post dedicated to u

  • Tony Lepatata

    no i dont think you have given your loyal subscribers a tell all tale of your entrance and exit to the hedge fund world.

    please enlighten us.

    oh and i’ll take two bottles of the snake oil on the left.

    thanks.

  • Tony Lepatata

    no i dont think you have given your loyal subscribers a tell all tale of your entrance and exit to the hedge fund world.

    please enlighten us.

    oh and i’ll take two bottles of the snake oil on the left.

    thanks.

  • Wally Patoniak

    > From: Randall Lane
    > Date: 2007/09/18 Tue PM 12:42:13 EDT
    > To: Tim Sykes
    > Subject: Re: Sykes 30 under 30 Party
    >
    > Tim,
    >
    > Acclaim comes with performance. While you’ve been busily self-promoting, your track record this past year for yourself and your investors has been pitiful. Laughably horrid. If you ever again become a real trader, rather than ignore the hard work required to instead play one on tv, you’ll be welcome in our community. Until then, including today, we will have nothing to do with you, as we celebrate those who actually perform versus those who pretend to. > > RL

  • Wally Patoniak

    > From: Randall Lane
    > Date: 2007/09/18 Tue PM 12:42:13 EDT
    > To: Tim Sykes
    > Subject: Re: Sykes 30 under 30 Party
    >
    > Tim,
    >
    > Acclaim comes with performance. While you’ve been busily self-promoting, your track record this past year for yourself and your investors has been pitiful. Laughably horrid. If you ever again become a real trader, rather than ignore the hard work required to instead play one on tv, you’ll be welcome in our community. Until then, including today, we will have nothing to do with you, as we celebrate those who actually perform versus those who pretend to. > > RL

  • Big T

    Obviously, Tim, your haters do not follow your blog, which detail losses all the time. This past week contained one of those. Real traders DO sell their watchlists, to supplement income, etc. The fact that Sykes is self promotion top heavy is obvious, but that does not spell fraud. Actually, Tim has done a pretty good of exposing industry fraud, as Wall Street is rife with cheats and manipulators, not confined to penny stock pumpers, by the way. Altucher, I agree, is one of the few folks I have seen on CNBC I can watch for more than a few seconds and not get sick, even if he dresses a bit casually. Keep up the good work, Tim.

  • Big T

    Obviously, Tim, your haters do not follow your blog, which detail losses all the time. This past week contained one of those. Real traders DO sell their watchlists, to supplement income, etc. The fact that Sykes is self promotion top heavy is obvious, but that does not spell fraud. Actually, Tim has done a pretty good of exposing industry fraud, as Wall Street is rife with cheats and manipulators, not confined to penny stock pumpers, by the way. Altucher, I agree, is one of the few folks I have seen on CNBC I can watch for more than a few seconds and not get sick, even if he dresses a bit casually. Keep up the good work, Tim.

  • http://test.timothysykes.com Timothy Sykes

    Wally/Tony same IP address dummy…my entire hedge fund is detailed in my book, can u guess the title?

    http://www.test.timothysykes.com/book

    as for performance, just go to covestor, i’m tops out of 25,000 traders while trading isnt even what i spend most of my time on..u unbelievable moron, thank u for some sat. night entertainment

  • http://test.timothysykes.com Timothy Sykes

    Wally/Tony same IP address dummy…my entire hedge fund is detailed in my book, can u guess the title?

    http://www.test.timothysykes.com/book

    as for performance, just go to covestor, i’m tops out of 25,000 traders while trading isnt even what i spend most of my time on..u unbelievable moron, thank u for some sat. night entertainment

  • http://test.timothysykes.com Timothy Sykes

    maybe this hater is randall lane? he does seem to be on par intellgience-wise and besides fighting lawsuits good ole randy boy really has nothing to do these days

  • http://test.timothysykes.com Timothy Sykes

    maybe this hater is randall lane? he does seem to be on par intellgience-wise and besides fighting lawsuits good ole randy boy really has nothing to do these days

  • agingteen

    Tim, I really like this article! I think it’s great what you are doing! I can’t wait to accumulate a bit more savings and learn your lessons!

  • agingteen

    Tim, I really like this article! I think it’s great what you are doing! I can’t wait to accumulate a bit more savings and learn your lessons!

  • http://jammy1337.blogspot.com/ jammy

    lol richard tim will get his crazy lawyer on yo’ ass

  • http://jammy1337.blogspot.com/ jammy

    lol richard tim will get his crazy lawyer on yo’ ass

  • Higgins

    Tim,
    If you were not trading like a “poor person” with a retail brokerage, what would you be using? I’ve seen “xtrader” and some other high end platforms but I cannot find any other platform that comes close to what Thinkorswim offers. What are some of the best?

  • Higgins

    Tim,
    If you were not trading like a “poor person” with a retail brokerage, what would you be using? I’ve seen “xtrader” and some other high end platforms but I cannot find any other platform that comes close to what Thinkorswim offers. What are some of the best?

  • http://test.timothysykes.com Timothy Sykes

    Higgins, I don’t know, never looked at high end stuff before

  • http://test.timothysykes.com Timothy Sykes

    Higgins, I don’t know, never looked at high end stuff before